Consolidated Results for the 1 st Quarter 2018 (Unaudited)

Transcription

1 SAG GEST Soluções Automóvel Globais, SGPS, SA Listed Company Estrada de Alfragide, no. 67, Amadora Registered Share Capital: 169,764,398 euros under the single registration and taxpayer no ANNOUNCEMENT Consolidated Results for the 1 st Quarter 2018 (Unaudited) Consolidated Turnover in 1 st Quarter of 2018 was Eur million increase of 1.6% (EUR 2.5 million) compared to 1 st Quarter of 2017 The main activity of the 1 st Quarter was the rebalancing of inventories composition, reducing the weight of self registration vehicles, through (i) the disposal of vehicles in inventories on 31 December 2017; and (ii) elimination of new registrations of this type of vehicles. This action allowed to reduce the self registration stock of Eur 33 million on 31 December 2017 to Eur 8 million on 31 March 2018 In this context, and in the scope of the ongoing negotiations with Brands represented by SIVA Subsidiary and the Volkswagen Group, the volume per-channel planning has already been agreed for this year to ensure a better stock adjustment to the demand EBITDA was Eur 3.6 million negative, essentially due to (i) one-off sales operations of used and self registration cars with direct impact on the deterioration of the margins, with the goal of rapid reduction on inventories of this type of cars (ii) decrease in New Car sales that was due (a) to the reduction of volumes in the RAC channel, and (b) Head-Office: Estrada de Alfragide, no. 67 1

2 to the reduction on self registration cars, (iii) general deterioration of business conditions Consolidated Net Profit was negative Eur 6.7 million, which compares with Eur 0.4 million in the same period in 2017 Consolidated Net Debt was Eur million (Eur million on 31 December 2017) Head-Office: Estrada de Alfragide, no. 67 2

3 1. OPERATIONAL PERFORMANCE Automotive Distribution The Portuguese Car Market (where volume is measured by orders registration, including vehicles on self registration) pursued the growth path as in previous years: in the 1 st Quarter 2018, the Light Vehicle market increase 4.8% when compared with the same period in 2017, with a total of 71,849 units. The orders registration volume of Brands represented by SIVA Subsidiary was 5,411 units, a decrease of 30.7% when compared with the 7,804 units sold in the 1 st Quarter of Consequently, SIVA s market share was 7.5%, a decrease of 3.9 p.p when compared to the same period in 2017: The Volkswagen Brand Passenger Car, with a volume of 3,435 units and a 24.4% decrease achieved a 5.4% market share (7.6% in 2017) in the Light Passenger Car market. The Audi Brand, which among premium brands is facing high competitive activity, achieved a volume of 1,291 units, less 39.4% when compared to the 2,130 units in the same period in prior year. The Škoda Brand decreased 42.2% to 388 units (671 units in the same period in 2017). The Volkswagen Brand Commercial Vehicles, with 293 units sold, decreased 35.7% when compared with the 1 st Quarter 2017 (456 units). The volume reduction, across all brands represented by the SIVA Subsidiary, is essentially due to two factors: High volume reduction in Rent-a-Car business Elimination of self registration (registered cars for subsequent sales) In this context, and with the worsening of liquidity risk, which resulted in a reduction of funds available to finance the temporary and seasonal working capital requirements, it was necessary timely sales of used cars and self registrations, that were in stock on December 31, 2017, which allowed a self registration stock reduction from Eur 33 million as at 31 December 2017, to Eur 8 million on 31 March EBITDA was negatively impacted by these operations on Distribution area, around Eur 6.0 million. Automotive Retail The number new vehicles of Volkswagen, Audi, Škoda and Volkswagen Commercial Vehicles Brands sold by the Soauto Dealers (Soauto SA, Loures Automóveis, Rolporto and Rolvia) in the 1 st Quarter 2018 was 1,016 units, a 11.4% decrease when compared to the same period in the prior year. The Soauto Dealers sold 503 used cars, more 5.2% when compared to the 478 units sold in 1 st Quarter of EBITDA in the Automotive Retail area decreased around 65.5% when compared to the 1 st Quarter 2017, achieving Eur 0.3 million (Eur 0.9 million in the first three months of 2017). This reduction was transversal for the two retail business areas, (i) sales and (ii) after-sales. The most significant variation occurred in the after-sales area, which, as occurred in the sales area, was a consequence of the volume reduction. Head-Office: Estrada de Alfragide, no. 67 3

4 2. ECONOMIC AND FINANCIAL RESULTS Consolidated Turnover for the 1 st Quarter 2018 was Eur million, 1.6% growth vs. Eur million in the prior year. The Consolidated Contribution Margin was down 47.9% when compared with the 1 st Quarter 2017, corresponding to 5.8% of Consolidated Turnover (11.3% in the same period in 2017). This reduction reflects the one-off sale operations for existing stock outflow in the amount of Eur 6.0 million. Operational Expenses increased, 3.4% in relation to the first three months in 2017, and therefore Consolidated EBITDA (negative) for the 1 st Quarter 2018 (Eur 3.6 million) registered a reduction of Eur 8.7 million compared to the Eur 5.1 million in the 1 st Quarter Consolidated Net Financial Expenses in the 1 st Quarter 2018 was unchanged (Eur 3.7 million) when compared with the same period in Consolidated Net Result was Eur 6.7 million negative (Eur 0.4 million the same period of 2017). On 31 March 2018, Consolidated Equity was Eur 0.8 million, less Eur 6.7 million (corresponding to Net Result for the 1 st Quarter 2018) when compared with 31 December Consolidated Net Debt, as at 31 March 2018 was Eur million, that represents an increase of approximately Eur 10.3 million (8.2%) when compared to Eur million on 31 December 2017, due to impact of payment period reduction from Audi cars, which was partially offset by Inventories value decrease. Alfragide, 30 May 2018 João Pedro Saraiva Investor Relations Head-Office: Estrada de Alfragide, no. 67 4

5 CONSOLIDATED STATEMENT OF PROFIT AND LOSS (Unaudited) Consolidated Income Statement EUR (000) 3 months ended 31 March % Chg Sales ,8% Services Rendered ,7% Turnover ,6% Contribution Margin ,9% % of Turnover 5,8% 11,3% Outside Services & Supplies Commercial Expenses (2 646) (2 615) 1,2% Outside Services & Supplies Car Expenses (1 052) (863) 22,0% Sub Total Variable Expenses (3 699) (3 478) 6,4% Outside Services & Supplies Non Variable Expenses (3 117) (3 381) 7,8% Payroll Expenses (5 818) (5 358) 8,6% Sub Total Overheads (8 935) (8 738) 2,3% Operating Expenses (12 634) (12 216) 3,4% % of Turnover 8,1% 7,9% EBITDA (3 595) ,0% % of Turnover 2,3% 3,3% Depreciation and Amortization (458) (538) 15,0% Gain/Losses on the disposal of Fixed Assets (19) ,4% EBIT (4 071) ,5% % of Turnover 2,6% 3,0% Income from Associated Companies Equity Method ,3% Net Interest (1 886) (1 877) 0,5% Other Financial Expenses (1 807) (1 766) 2,3% Net Financial Income / (Expenses) (3 673) (3 642) 0,9% EBT (7 745) ,4% % of Turnover 4,9% 0,6% Income Tax (560) 290,3% Net Profit (6 680) ,4% Non Controlling Interests (36) 100,7% Net Profit Attributable to SAG Gest's Shareholders (6 679) ,0% % of Turnover 4,3% 0,2% Head-Office: Estrada de Alfragide, no. 67 5

6 CONSOLIDATED STATEMENT OF FINANCIAL POSITION (Unaudited) CONSOLIDATED STATEMENT OF FINANCIAL POSITION EUR (000) Mar 18 Dec 17 Other Fixed Assests Investments in Associates Equity Method Consolidation 4 () Accounts Receivable Related Parties Deferred Tax Assets Non Current Assets Inventories Accounts Receivable Current Income Tax Receivable Tax Receivable Other Than Income Tax Cash and Banks Current Assets TOTAL ASSETS Registered Share Capital, Equity Reserves, Non Controlling Supplementary Capital Payments Retained Earnings ( ) ( ) Net Profit (6 679) (13 778) TOTAL SHAREHOLDERS EQUITY Bank Loan Medium and Long Term Deferred Tax Liabilities Non Current Liabilities Bank Loan Short Term Accounts Payable Current Income Tax Payable Tax Payable Other Than Income Tax Non Current Liabilities TOTAL LIABILITIES TOTAL LIABILITIES & SHAREHOLDERS EQUITY Head-Office: Estrada de Alfragide, no. 67 6